Purpose of business plans + Contingency crisis manegment Flashcards
What is a business plan ?
A document outlining all the elements of your business
What is plan do review process
Plan - set OBJ’s and a course of action / resources needed
Do -Implement the plan / understand responsibilities
Review -Evaluation of progress towards OBJ’s / final review at end
What are the advantages of plan do review ?
Methodical
If everyone is on board then they will be focused / efficient
Final review allows check for appropriateness of the OBJ’s
What are the disadvantages of Plan do review ?
Time consuming to do / implement
If workers are less involved then they are less committed
Employees don’t like ongoing process of their work
What is contingency planning / crisis management ?
Planning for the worst in case shit hits the fan
Worst case scenario plan
What are some examples of contingecy issues in all the departments ?
Finance - sales are too low , what do we do
HR - Key workers leave the business / sick or absent
Operations - Suppliers to deliver on time and wrong spac produced
Marketing - Economic shocks , new competitors emerging
What are some other issues to consider in contingency planning ?
Natural disasters overseas
Business getting sued by competitors
Pressure groups raise negative PR
What is the impact of contingency planning on stakeholders ?
Employees - May have no livelihood
Suppliers - recieve fewer orders , drop in rev
Customers - will be let down ( bad PR )
Local community - fall in income and jobs
GOVT - Lost tax revenue
What are some solutions with crisis ?
Keep insurance policies up to date
Have safety cash avaliable
Private healthcare for employees / quicker than NHS
Have a trial run before selling product
